FILE PHOTO: The Bristol Myers Squibb research and development center at Cambridge Crossing in Cambridge, Massachusetts, on Dec. 27, 2023.<\/p>\n
Adam Glanzman | Bloomberg | Getty Images<\/p>\n
Bristol Myers Squibb<\/a> on Thursday beat first-quarter estimates and hiked its revenue and profit guidance for the year, as the drugmaker cuts costs.<\/p>\n The company now expects 2025 revenue to come in between $45.8 billion and $46.8 billion, up from a previous outlook<\/a> of around $45.5 billion. Bristol Myers also expects full-year adjusted earnings of $6.70 to $7 per share, which compares to its prior forecast of $6.55 to $6.85 per share.\u00a0<\/p>\n Notably, the company said its guidance revisions include the estimated impact of current tariffs on U.S. products shipped to China. But they do not account for any of President Donald Trump’s planned tariffs on pharmaceuticals imported into the U.S., Bristol Myers said.\u00a0<\/p>\n China is a critical market for Bristol Myers Squibb. The company has previously outlined<\/a> its “China 2030 Strategy,” which is a plan<\/a> to bring more of its medicines to the nation to address unmet medical needs in areas like gastric cancer and include more Chinese patients in clinical trials.<\/p>\n The company said the outlook hike reflects strength in the company’s portfolio of newer drug brands, and better-than-anticipated first-quarter sales from its legacy portfolio of older medications.\u00a0<\/p>\n The results come as Bristol Myers Squibb moves to slash $2 billion in expenses by the end of 2027, which is on top of $1.5 billion in planned cost cuts by the end of this year.\u00a0<\/p>\n It also comes just days after Bristol Myers Squibb’s recently approved schizophrenia drug, Cobenfy, disappointed in a large clinical trial<\/a>, leading some Wall Street analysts to substantially lower their multi-billion dollar sales forecasts for the treatment.\u00a0\u00a0<\/p>\n The company is banking on Cobenfy and other so-called growth portfolio drugs to offset the loss in revenue from top-selling treatments slated to lose exclusivity on the market, including its blockbuster blood thinner Eliquis and cancer immunotherapy Opdivo.\u00a0<\/p>\n Here is what Bristol Myers reported for the first quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:\u00a0<\/p>\n Bristol Myers posted net income of $2.5 billion, or $1.20 per share, for the first quarter. That compares with a net loss of $11.9 billion, or a loss of $5.89 per share, for the year-earlier period.\u00a0<\/p>\n Excluding certain items, it reported adjusted earnings per share of $1.80 for the quarter.\u00a0<\/p>\n The pharmaceutical giant’s revenue fell 6% from the same period a year ago to $11.2 billion.\u00a0<\/p>\n Eliquis booked $3.57 billion in sales for the quarter, down 4% from the year-ago period. That is above the $3.34 billion that analysts were expecting, according to estimates compiled by StreetAccount.<\/p>\n The blood thinner, which Bristol Myers shares with Pfizer<\/a>, is expected to lose market exclusivity by 2028.\u00a0<\/p>\n Sales of Eliquis could also take a hit in 2026, when a new negotiated price<\/a> for the drug goes into effect for certain Medicare patients following negotiations with the federal government. Those price talks are a key provision of the Inflation Reduction Act.<\/p>\n\n